US citizens and companies are prohibited from engaging in business with Charara and his company based in Beirut, Lebanon.
Sanctions were placed against Spectrum Investment Group Holding SAL and its chief executive Ali Youssef Charara.
Charara and Spectrum, which provides telecommunications services in the Middle East, Africa and Europe, could not be immediately reached for comment.
The new USA law, called the Hezbollah International Financing Prevention Act of 2015, strengthened US authorities’ ability to target Hezbollah and threatened consequences for those who help the group, the Treasury Department said.
“These financial sanctions are an important step to crack down on Iran’s terrorist proxy Hezbollah by denying them critical financing they need to carry out their plots against America, Israel and our allies throughout the world”, Rubio said in a statement from his Senate office.Shaheen also applauded the sanctions on Twitter.
“Hizballah relies upon accomplices in the business community to place, manage, and launder its terrorist funds”, acting Under Secretary for Terrorism and Financial Intelligence Adam J. Szubin said in the statement.
Under the law, foreign institutions that process transactions for Hezbollah or entities linked to the group risk being barred from accessing the USA financial system.
SOURCE: US State Department